Monday (Sept 10), at the Eastern Economic Forum, PAO NOVATEK (NOVATEK), the Ministry of the Russian Federation for the Development of the Far East and the Government of the Kamchatka Territory signed an agreement of intent (“Agreement”) on implementing a project for the construction of a marine LNG transshipment complex in the territory of Kamchatka.

Image for illustrative purposes only - Photo courtesy of Novatek

The Agreement provides for NOVATEK’s investment in the amount of approximately RR 70 billion. The Ministry of the Russian Federation for the Development of the Far East with the Government of the Kamchatka Territory supports the project and intends to render assistance in its implementation.

“The construction of the Kamchatka transshipment complex will increase the efficiency of LNG deliveries from the Arctic zone by optimizing transport logistics,” noted Leonid Mikhelson, NOVATEK’s Chairman of the Management Board, “We plan to create a Russian LNG hub for shipments to consumers in the Asia-Pacific region. This investment will contribute to the development of the Northern Sea Route allowing for the optimal use of the existing Arctic tanker fleet. The project will give an additional impetus to the economy of the Far East, create additional jobs and facilitate gasification of Kamchatka by using the boil-off gas from the LNG transshipment complex.”